warning of lower sales and profits for the rest of the year. is now the right time to shop for walmart stock? wait until you hear just how much kids cost. one child could cost you as much as a four-bedroom house. "countdown to the closing bell" starts right now. ♪ ♪ cheryl: i'm cheryl casone in for liz claman. it is the last hour of trading, and the major indices are lower this hour after getting slammed by new economic data and earnings reports. first, the number of americans seeking jobless benefits dropped 15,000 to 320,000, the fewest since october of 2007. all good news, right? except it appears that investors believe this means the fed will end its bond-buying program sooner rather than later and cut off what many traders call free must be. we shall see -- free money.

to make matters worse, two dow components had less than stellar earnings reports, walmart cut its forecast for the remainder of the year. take a look at wal-mart, the stock is down metropolitan $2, that's almost 3% as you can see, and then there is this stock, cisco. this stock suffering its biggest one-day drop in 15 months after the network equipment maker's outlook disappointed investors. the company announcing they're going to cut 4,000 jobs. take a look agencies coe, one of the biggest drags on the dow. cisco down more than 7%, $1.87, 4.531 -- 24.51 to the downside. we are going to be speaking with the ceo of cisco in just a few moments, so much to talk about with john today. a big down day in the market, the dow and the s&p at the lowest level this more than a

month. nicole petallides, a business -- busy day back from vacation. >> it has been, indeed. you see the dow jones industrials still down 207 points, and the selling is broad based. most of the day we've had all 30 dow components with red air eaus. a couple of them are giving it a go such as caterpillar and alcoa, but for the most part, it's all down air eaus -- arrows. walmart had some news out, i know you'll be talking with john chambers, that'll be a great interview, obviously announcing layoffs, 5% of the work force. walmart giving an outlook that's weaker, higher payroll taxes, looking at the s&p 500 adviser which is doing things differently, certainly the down arrows there. and on the nasdaq you have cisco on there again, but seagate, this is the technology realm.

we've seen gold jumping 32, everybody continues to talk about the fed and when they will begin to taper the bond-buying program of $85 million a a month. we see stocks tumbling to the lowest levels since july. you've seen the move here the biggest since june, june 20th, and the ten-year also notable there. the ten-year note, the yield rose 2.82%, that's the highest level since august of 2011. so we've had some real monumental moves today. but -- still bo -- above 13,000 at the moment -- 15,000 at the moment. cheryl: well, cisco shares seeing a big decline today following the company's earnings report. profit and revenue grew in the quarter, the company announced it would lay off 4,000 employees. it also gave guidance that,

well, disappointed wall street. with me now, john chambers, sis is coe's chairman and ceo -- cisco's chairman and ceo. hello x be thank you for being here. >> cheryl, a pleasure to be back with you all again. cheryl: let's talk about this. earn isly, 4,000 -- certainly 4,000 job cuts is tough, so let me ask you this, you know, when you were doing the conference call, there was one sentence that seemed to kind of spook wall street. you said you saw mixed and inconsistent economic recovery. let's look forward, john. what do can you need agencies coe? what do you need from washington? what do you need to maybe make that economic recovery brighter, in your opinion, where you don't have to cut 4,000 people? >> all right, cheryl, you've asked a series of questions, and if it's all right, let me frame it in terms of the quarter. i think it's important to understand when i make my comments, our expenses next year will be flat to slightly up. what we're doing in the cuts

that we're making is we have to reinvest very quickly in terms of opportunities that are moving very it's in this market. and since we aren't as optimistic as we'd like to be about the global gdp growth, we're doing this from a caution point of view very carefully in terms of how we do it. we are communicating to our employees very openly, you said it right, this is the hardest decision you make as the ceo. we met with 18,000 of our employees by telepresence, by video this morning, shared with them what we're doing. they get to grill us for literally an hour and 15 minutes with any question, fair game. they understand what we're doing and why. but this is a lot different than signaling to the market we think the market is about to turn down. our progression has been slow, steady increase on our product orders for four quarters in a row. it was a record quarter from a revenue per peckive, the tenth in a row. it was the seventh quarter where we've grown revenue faster than earnings, and we returned to our

shareholders from four billion in cash flow 2.1 billion. so doing that in a market like this and gaining share in areas, including in the u.s. and many product areas, it was a very positive, record quarter: our guidance for the next quarter was 50-51 cents. the market came out at 51 cents. that's where it was before our announcement x our guidance in terms of revenue ended up, the consensus was 12,461,000,000,000. it was 110 below that, less than 1%. so i think what a lot of people are missing, we're not centralling a heavy -- signaling a lay off. we have to realign resources quickly or we'll miss out on the hot growth markets that we must play in, and that's the right decision for the company each though it's very tough. we communicate very openly with our employees what we're trying to accomplish and why. cheryl: is wall street missing something, i think you've

explained that. let's look forward then. again, you do have that strong dividend yield, that is still in place. you've got, i think it's, what, $32 billion in net cash on hand. you were one of the biggest acquisition makers from 2000 to 2010. i'm curious if acquisition's in your future as you try to, quote, refocus the company which other times you've said the same thing, you want to refocus the company. a what do you do with that moneysome. >> well, first of all, we have refocused the company to almost all of the major growth opportunities. and you see that in cloud where we've done both internal investment and acquisitions growing to 43%, in mobility and wireless growing to 33% where we've gone from not being a player to the number one player, in server technology where we've become number two in the world on x86 servers, growing at over 46% year-over-year. so we use our act by uses and our investments for where the market's going. we acquired a company for other

a billion dollars -- over a billion dollars, and in that they grew this last quarter 100% quarter over quarter. so in third quarter to fourth quarter. at a run rate of $250 million. that shows you when you get a great acquisition technology wise, with an architecture that we play through world class channels, magical things happen. we acquired source fire for $2.7 billion, a great acquisition in terms of security. and we were optimistic on where that's going to take us. we return to our shareholders this last year not just the dividends and the share repurchase which were 6.1 billion, we acquired $6.8 billion of companies with cash, so our return to the shareholders was $12.9 billion this last year. cheryl: your fiscal fourth quarter profit up 18%, and as i said earlier, you are still delivering that dividend. i think sometimes when you speak especially the reason that your words can sometimes, you know,

again like it's hurting the stock today, and i'm sure that's tough to watch as ceo is that people view you and cisco as the eyes and ears for the forward-looking health of the technology sector. and you've got a lot of competition. you've got hp coming after you, you spoke about the weakness in asia. if be there's one thing that you really do want to refocus on now, is it cloud? you mentioned wireless. i mean, where's the next phase for you to keep delivering that dividend and to continue to focus on that growth for you? >> so first of all, cheryl, we took competitive share from both hp and from whatway. if you watch the server market, we now have 20 president market share -- 20% market share. in terms of the chinese competitors, we're very good versus them on a global basis, and part of our growth as we gain -- is we gain share across the board. we are not a one-product company. think of us as a portfolio of 18 different product families of

which we are number one in 13 of them, number two in three and only number three in two, and we make them work together to solve our customers' problems. the next big thing, the internet of everything. everything will be connected. it used to be 100 million to the interbe net, we thought that was cool. you're now at ten billion connections on its way to 50, on its way to 500 billion. it will change health care, it will change education, it will introduce probably $14 trillion in profits into the global economy enterprise systems over the next ten years. and that would create a huge number of jobs and directions. we're going to lead in that. so what we do well is we combine these products to solve our customers' business problems and in the u.s. as an example our commercial business grew 9%, our enterprise business grew 12%. public sector turned up on a global basis, it's up to 6% positive from 6% negative a year

ago. u.s. public sector which actually started a downturn almost two and a half years ago in state and local government, state and local government grew 9%, and our federal business turned positive for the first time in four or five quarters. it used to be down maybe 15%, actually grew at 3% this quarter. so a lot of positive in the markets. challenges, emerging markets, they were not near as strong as we anticipated. they grew 13% last quarter, only 8% this quarter, and asia-pacific and japan we saw similar weaknesses that others did. cheryl: okay, real quick, i have to -- before i let you go, the consumer business. the consumer business. are you worried about the consumer side of cisco's business? >> well, we are a business to consumer. we're no longer in consumer to consumer. so in terms of businesses like retail interfacing to the consumer, that's a very good growth business for us. manufacturing, building automobiles for the future, a very, very good growth business for us, and we did see very,

very solid growth on that. so i think the key takeaway, cheryl, is that a our goal is to become the number one i.t. player in the world, that we are closer to that now than we've ever been, that we had another record quarter with great results in most categories when people look at it. the next quarter it was all in expectations for earnings and just a hair off in terms of the revenue level. but what the market read x it was right in terms of i've been very candid, credibility and trust is everything, and i've been very candid. this market is really sending inconsistent messages on gdp growth on a global bay sixer continuing to trend down. and i see spending continuing to trend down according to industry experts. cheryl: john, i certainly appreciate you for addressing so much of the concerns of wall street today and, certainly, we're going to be checking back in with you. john chambers, chairman and ceo of cisco. >> cheryl, maybe one last quick comment if you have a second. cheryl: okay, real quick.

>> watch where the stock is two weeks from now, four weeks from now and a quarter from now and see if the market overreacted. cheryl: i will. i will, i will. john, thank you so much. it was good to see you again. >> thank you. cheryl: all right, well, turning to today's big international story, president obama says that the u.s. deplores the egyptian military's violent crackdown on anti-government protesters in egypt. the military-led government says it wants an inclusive political process that's open to anyone who is not involved in violence. at least 578 people have been killed and thousands wounded in the past two cays of clashes -- days of clashes. peter barnes has been watching all of this from his perch in washington and has more on what the president had to say today. >> reporter: that's right, cheryl. the president announced that the united states was going to cancel a scheduled joint military training venture with the egyptian military as a

result of what's been going on over there. he took a break from his vacation in martha's vineyard to make that announcement. >> going forward i've asked my national security team to assess implications of the actions taken by the interim government and further steps that we may take as necessary with respect to the u.s./egyptian relationship. >> reporter: and that could be freezing u.s. aid to egypt. $1.3 billion a year in military assistance. now, on the economy the violence has so far not affected the suez canal, though oil prices have been moving higher in recent days on concerns that it could have an impact. tankers move more than two and a half million barrels of crude oil a day through the canal, egyptian shipping sources have told reuters that the canal and the country's ports are operating normally despite all this unrest, and the sources said that the military has

deployed significant security at strategic areas. cheryl? cheryl: peter barnes, live out of washington. peter, thank you for that. we appreciate it. closing bell, we've got 46 minute toss go. on a day like today, that's probably good news to a lot of you. coming up next, the very latest on on toed's big selloff. we're going to go to the cme and the nymex, we've got our floor show coming up. and gold bugs, pay attention to this. one of the biggest names, billionaire john paulson, has reversed course on gold. details on that. stay with us. ♪ ♪ she's still the one for you - you know it even after all these years. but your erectile dysfunction - you know,that could be a question of blood flow. cialis tadalafil for daily use

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♪ ♪ cheryl: let's get the latest on today's market selloff, traders at the new york stock exchange, the cme and, of course, the nymex. ben willis at the new york stock exchange, ben, to you first, there's thoughts about in this major move to the downside. are you worried, or is this a one-day blip? >> i hope it's not a one-day blip. i don't mean to be too dark, but this market has had one great run this year, and we're only in august. the market needs for its health in order to be higher by the end of the year to have a decent

pullback, and the biggest pullback we have had so far this year the is about 3.5% on the s&p, and that's not really a healthy correction, so i've been looking for one, as many professional traders have for quite a while, and hopefully this is it. cheryl: kevin, do you agree with that assessment? >> i do. look at yields today and you actually see stocks selling off significantly, so it's not a flight to quality trade. i think traders are really looking at the data. you saw claims fall, inflation up just a little bit more, data's getting better, so they're starting to take the fed's word to heart here and seeing a little pullback on that monthly bond buying. cheryl: let me take that back to ben willis, when you get jobless claims falling, ben, that means that the fed's going to jump in even quicker to begin to taper programs. isn't that already factored in, ben? >> well, the tapering has been factored in by many people i was arguing on this point yesterday

on this show with another gentleman from chicago about the tapering. but the fact of the matter is the actual tapering when it does have the anticipation is you will get a knee jerk reaction to the downside in equities, and i believe the market will go higher. these kind of corrections are a buying opportunity to viewers at home. traders are a whole different animal for a marketplace. if you're a long-term investor, the days like today are when you should be looking to add to your portfolio, not the panic. cheryl: ben with, i hear the bull in your voice, let me bring in jeff grossman at the nymex. jeff, you know, more serious topics, energy markets. there is concern about the suez canal, whether the military assures us that the channel's going to stay open, we're not sure we can believe them. is that kind of factoring into the rise that we're seeing? >> without question. as a matter of fact, based on the way the stock market behaved today, it's quite surprising we

were at all higher today x that's only because of the uncertainty in the middle east. you have a market here that really has no business being here in respects, even though it has broken out over this. but it's only broken out over some of the stuff that took place in the middle east. if you look at it from a technical standpoint, we are about $2-$3 bo the moving average -- above the moving averages, so it's showing ahazing strength on the upside and a fact you're probably going to see more of that tomorrow because no one is going to be comfortable going home short over the weekend with the situation there. cheryl: the other side of the coin here, though, is we've talked so much about domestic production, and that we continue as a nation, the u.s. does, to get away from dependence on middle east oil, but yet we still have these concerns about the suez canal. do you think we'd have, you know, oil going over $110, $115, $120? >> very possible. in fact, the overall perception right now is there is going to be a move toward much more production and, again, that

tempers the market, and that's why i don't see some of these high numbers that some people like to talk about it. i think we have to settle back, and as my predecessors talked about a healthy selloff and adjustment, i still think that crude oil needs to go down to 102, even 100 if it could at all make a serious move up. but at this point it's running into a bit of a wall here because, again, you don't have kind of, let's say new blood in the market that would create an upside move. cheryl: interesting. thank you, gentlemen, to all of you. nice to have you here on a day like today. closing bell going to ring, 37 minutes to go right now, and the cost of raising children is surging, and parents are reeling from all the expense even before their kids go to college. we've got the latest staggering numbers of just how much it all costs. and walmart's earnings report sending shock waves through the market. just how concerned should investors be about the world's largest retailer, as well as the

health of the overall economy? we're back in just a moment. ♪ ♪ my mantra?

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♪ cheryl: if you have a baby on board, then you better start saving. a new government report shows that after adjusting for inflation, the cost of raising a child as risen 23% since 1960. in 1960 and middle-income households spent about $252,909 to rear child. fast court today and the number jumps to a staggering $241,080, and the expenses don't include, brace yourselves, for the cost of college. the surge was attributed to housing, health care, and child care. the biggest costs, housing is the biggest expense, accounting to 30 percent of the cost. child care and education coming in second, responsible for 18%. food accounted for 16% because you have to feed them. in any way. going gold dawn. the precious metal is as appealing as it was last quarter.

what prompted this? liz macdonald has been looking into this. i thought he was recommending owning gold month ago. now he is selling. >> good to be with you, cheryl. samuel dumped out as well. interesting action going on with a gold mining stocks. we have john paulson doubling down on one of his big holdings. free. >> reporter: america macabre and gold. what is interesting about the trade today, we see gold for december delivery settling about $28. 1,361 or thereabouts. the physical market, the delivery there is really tight. it big asian demand, but what we want to return to is what is going on with the paper trades in the exchange-rate as products in gold, down about $58 billion so far this year.

it has been on a rocket ride since december 2008. then it went up 71,894 in july and august of 2011. that starts coming back down this year. the cftc was really clear that the commodities futures trading commission has data on the long positions, the bullish bets on gold. they sort of mirror what is going on with a hedge fund guys. the bullish bets for the long positions have been cut by 70%. that is a big number. 70 percent cut again in the futures and options on the net loss position in gold futures delivery. want to give you one final newsbreak. breaking news coming out. forbes magazine is telling the math on john paulson potential hedge fund losses, they are telling $740 million is what forbes magazine is saying that john paul's and lost in the second quarter of the goal bloodbath. cheryl: great analysis.

thank you very much. well, the closing bell will ring in exactly 30 minutes. this thursday. walmart may -- three different regional names, three big earnings misses. is the consumer finally cracking, or will they get shoppers to open their wallets again? we will talk to a top analyst in the chief economist of the national retail federation. plus, stocks continued to fall as we head into the close. the down now on course for its first back-to-back triple digit declines as the month of june. is this the start of a longer-term correction? to buy as always has great insight. managing director and chief u.s. equity strategist. ♪

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♪ cheryl: computer giant del set to report earnings after the bell today as the fight over the company between founder michael dell and carl icahn continues. let's go to nicole petallides on the floor of the new york stock exchange with more on that one. >> reporter: well, the dell story has been quite big. we have followed it so closely day in and day out. we have followed obviously michael dell, who created this company, and foxbusiness.com, who has ideas of his own. meantime must talk about the facts. they will be reporting results after the closing bell. we will see whether or not that actually plays into the offers at all and see what the proposed sales price, about 40% below where dell stock stood in 2007

when michael dell returned as ceo. 2007, over $30 per share. now it's hovering around $13.70. we know that both carl icahn and michael dell have their of -- their own ideas for what lies ahead for this company. obviously they have swedens' their bid in order to try to move forward with this. the vote for the offer will take place on september 12th perry will have that coverage as well. but a year today that boehner. cheryl: surprisingly so. thank you. well speaking of carl icahn, not only in a bidding war, but he is also in a war of words with black men. today he took another shot at the hedge fund manager on twitter. carl icahn writing, the new york times, the actions prove something is wrong.

okay. does not really mend its words. anyway. those are fighting words. we will continue to follow that story. not to a reality check on retail. our shoppers dropping before the shop? retail giant walmart given at grim outlook. what does it mean for the sector as a whole? let's bring in tel aviv adviser, group senior managing director and senior research analyst. national retail federation chief economist. thanks about the for being here. a lot to start off with walmart year. and the running joke is among some of the analyst community is that walmart is a grocer's "-- grocery store disguises the discount retailer. what did he sit behind the numbers listed at chiba? >> well, i don't really actually look at the walmart numbers. we really looked at retail in general, but i would like to suggest to you that certainly you have to look at income

strata for people and where they're shopping and how much they're spending. and nothing to a certain extent that the lower income groups of people in the economy have been really challenged going into this year, certainly with weaker wages and salaries. certainly the increase in apparel taxes. cheryl: same question to you. he looked at walmart again, the issue with the grocery side of the business. food inflation. what do you see behind the numbers? >> the lack of inflation. that was a drag. we saw consumers trading down with in consumables. that was a lack of inflation pitbull that 2 percent payroll tax. for less spending power. discretionary -- cheryl: i can raise prices. >> we give a little bit of a price boost. plus, you know, if the consumer was a little better off, as

jackie just described, there would be able to spend a little bit more on the product. in fact, today the cpi number came out and if you take a look at selected items that consumers are buying, prices are off from june to july as well as year-over-year. the fact of the matter might be is that they are spending. they're just not having to spend as much as they had planned or had been in the past. cheryl: why is the biggest question. this is not just a walmart store your target. this is the entire retail sector. i mean, what is it that the consumer is suffering from, the payroll tax holiday was the beginning of the year. gasoline prices really did not go too crazy this summer. what is happening to the consumer? >> again, it depends upon what in come to work. it will be much more challenging for individuals that have to pay a little more for gasoline. substitute the dollars for gasoline verses other goods. think their budgets have not increased because they have not seen wages and salaries

increased. we can expect more from those who don't have the spending capability. i think that's part and parcel of the challenge this year. cheryl: was interesting. i want to go back for a moment, your analysis and walmart in particular. i apologize, but when you look at wal-mart's sam's club was actually a bright spot in their numbers. what is happening and sam's club that is not happening and what are? >> the more affluent consumer, if you really think about cost goes sam's club, you have to pay a fee, more affluent and contempt bigger spending power. customer has been doing. we are seeing spending on big-ticket items. appliances and home-related projects and autos. so there is spending going on. it is just that lower income court is not spending as much. i think there is ongoing pressure.

cheryl: again, going back to the overall consumer and the overall economy, if you look and someone like walmart, it's a good point. fellow worker and consumer. is unemployment benefit, they have been shorting unemployment benefits. a lot of walmart customers to be fair on food stamps. is that an overall bigger sign of a weak economy? that is not what the government is telling us in their data. >> the fact of the matter is that there is an increased level of unemployment for the lower income individuals. that spending just what happened. i guess the other thing when i want to consider to is the fact that there has been some of the fact friary luxury income individuals. when you look at where, if any,

there is any wealth effect at that end of the spectrum that is probably not that much even though you might see some of prices. it is not translating into spendable money. cheryl: picking about what he is saying, take that last question to joke. he think about it, once again, here we are three years in the past, today talking about the high income consumer keeping the retail sector going. is that where we have to focus frankly our stock buying power is? >> i think the retailers that are catering to that higher end are the ones that are winning here. the top 20%, the spending power and they're driving a lot of that. i also cover a lot of the hard-line retailers', home depot, lows, home-related retailers are doing well. pets are doing okay. there are other pockets of business doing okay. it is that lower end, the discount retailers, dollar stores are you are seeing a bit more of the pressure.

cheryl: go ahead. >> i was going to say, we know from our survey that we -- recent activity in terms of back to school is supposed to be soft this year. we learn from our survey that individuals are not going to be spending as much, maybe a percent less. so they're trying to really extends the budget, given where they are in their income. cheryl: well, jack and joe, gentlemen, thank you. very enlightening discussion about retail. we certainly did he think about it the closing bell will ring. we need this to be over. 15,000. twenty-five points right now. we have 60 minutes to go. what a day. the beginning of something bigger? something temporary? well, we will talk exclusively. managing director and chief u.s. equity strategist. justice in as we come back. ♪ you know throughout history,

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♪ cheryl: stocks are down sharply for a second straight day, and when renowned economist says it is not surprising as investors should expect significant bumps in the road. what about the longer-term outlook? joining me now in a fox business exclusive, it tobias to my citigroup managing director and chief equity strategist. we should say back in 2011 you said 2013 would be a secular bull market. here we are. since you predicted this correctly, how long will this last? >> we have been saying that when you look at bull markets they tend to be extended. i'm thinking five to ten years. really interesting benefits from the shale gas revolution,

housing turning from extraordinarily low levels to the extraordinary -- even manufacturing has become an incredibly competitive, and we have this whole mobility explosion in technology. cheryl: good things, but we are always worried about what she will drop. what top three things are you worried about right now? >> you worry about tapering from the fed, not because it will be a bad thing, but because there are enough investors that liquidity is all that is driving this market, not earnings, jobs, employment, housing, consumer spending. all these things have been much better. the second aspect would be worried about earnings for the h quarter. they're too high relative to what the companies can probably deliver. last week we were a dozen problems in washington between fights over the budget deficits over continuing resolution, debt ceiling. cheryl: interesting to hear you say that because we have so many analysts come on and say, you know, washington, ignored. we don't care.

and then the minute that congress comes back and all of the rhetoric starts, at least would not be surprised to see a big move on the market. it is overreaction. >> the headline risk. ultimately i don't think we are talking about government shut down our debt ceiling is being breached, but the headline risks i was telling someone earlier, you know, we kind of long for a recess. not just from grade school. of the newscasts. cheryl: when you say secular bull market, you are concerned about the next three months. short-term concerned. for 2014, let's move ahead. 1825 on the s&p. >> our made year for next year is 1825. we don't have a full year yet. we do think that this year that this pullback we're seeing in the market will probably continue, and we are looking more at 1650.

people get a bit too excited. cheryl: one thing that we will have next year that -- that we're not going to have next year that we have now is the bond buying program. also, we may have no ben bernanke in office next year. >> i'm not going to venture a guess. i know i would like to see get the job. stanley fischer. cheryl: really? that larry summers or janet yellen? >> a great macro economists. experience from the fed in a the bank of israel job, but this is more of a speculative aspect. at one to spend time worrying about that. i think about it upon buying goes away why it would be going away. because the economy is on much firmer footing. the fed toes of their data dependent. that is good news. the most high to five highly correlated factor of the market is earnings.

you will see the highest court related factors. cheryl: that concerns me. we are seeing today in the retail sector, the ceo of cisco coming on. a lot of issues out there. companies are stepping up and saying things are rosy. not at all. the forecast this week has been rough. >> again, this was the aspect of we need an adjustment expectations. people have run too high and hot. i would say on the consumer side if you look up motorcycles, cruising, restaurants, hpv, stuff like that , they are strong. so elements of the consumer that are strong. cheryl: i have to ask you this. we are seeing jobs created in this services sector, lower-paying jobs. how much do you worry about that? >> a lot. more worried about temporary versus full-time staffing. more worried about the fact that younger people are not getting into careers fast enough and

they lose really significant chunks of their earnings power long term. those are the areas i worry about. i would argue that is about confidence. you mentioned before. i was looking for the next shoe to fall. it almost seems like there are centipedes out there because we're thinking about so many issues. that is a reaction to what we have before. america has generally been a pretty good place it. cheryl: i like it here. i might stick around for awhile. the thank you very much. good to see you again. closing bell going to ring. six minutes to go. it may be a down day on wall street, but there are a few names that are seeing big moves higher. we will tell you. ♪ [ male announcer ] how do you get your bounce?

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cheryl: this is one of those things we'e going to say did she really just say this? three stocks that are up more than 5%, dr horton, i know, right? kohls, after the quarter they came out with, and now let's take a look at jcpenney. again, i know, you're shocked right now, i can feel it through the camera. yes, this is all true. now, i'm sticking around -- david: i can't believe that. there are stocks that are up today? cheryl: and the names of who's up. david: triple-digit loss here, the dow is looking at its steepest weekly decline even if we flatline tomorrow in four months based on what's happened today. let's go to nicole petallides, naacp, and there's a lot of talking about -- new york stock exchange, there's a lot of talking about what's caused today, some people say it was sor ross making a bet against

the s&p going up or whether it was walmart. what do can the traders say? >> reporter: or it could be the fed tapering, you could say any of those. how about the fact that we were up six weeks in a row, and now people are pulling back a little bit or that we broke the 50-day moving average, and sometimes when that happens you see selling upon selling. cheryl: nicole, curious what the traders are saying about cisco, biggest one-day decline in 15 months for that stock. what are they saying? >> reporter: right. obviously, big picture they're not too worried, but for today you have 5% of their global work force going to be laid off, that's 4,000 workers, so the knee jerk reaction was pretty dramatic, and we saw it down throughout the day. david: on the other hand, we have jcpenney up bigtime today. why? >> reporter: right. you mentioned george sor toes earlier, and he's obviously backing jcpenney, two million

more shares of jcpenney, and now the second largest shareholder. david: okay, listen to those big traders. the bells are ringing on wall street. let's take a look at how stocks are finishing up. dow jones industrial average, we're all focused on the dow, again, biggest weekly drop in four months if it stays online tomorrow: but look at the action down in the nasdaq here, that really took it on the chin. and the russ el 2000, they are taking it very hard, down almost 2%. cheryl: dave, i'm so glad you always mention the fact that the indices are still higher for the year. let's bring in front page headlines, an unexpected drop in jobless claims moved markets on worries the fed could taper on purchases soon. lowest level in nearly six years. david: and, of course, egypt, a lot more clashes, nearly 600 people have been killed in the past two days at least, the opposition to morsi supporters saying it's a lot